Registration Process of Private Limited Company in India

Today we guide you on Registration Process of Private Limited Company in India. Private Limited Company is the most popular legal structure for businesses and Startups in India. So Lets Discuss and Understand the registration process of private limited company in india –

What is Private Limited Company ?

Private Limited Company is mostly Start-ups and growing companies prefer it on grounds that it allows External funding from angel investors and VC Firm or other investor. For Funding Concept you have to must read : How to raise funding for the startup in India. Next Further Feature is limiting the liabilities of its shareholders so its protect the owners and investor from personal liability.Next Great Advantage is to offer employee stock options to pull in top talent.

If any business idea needs funding and in future they are planning for the expanding and growing then Proprietorship or Partnership Firm can not provide the right support.

Features of the Private Limited Company –

Separate Legal Entity: A Pvt. Ltd. Co. is a legal entity and a juristic person established under the Companies Act 2013.

Limited Liability: Member’s personal assets are safe so its a main advantage for a private limited company and liability of members is limited to the assets of a company so they are not paying from personal assets.

Uninterrupted Existence: A company has perpetual existence mean they have no effect if partners changed or died or any other situation.

Apply for Reservation of Name in Form INC-1 along with the prescribed fees.

On approval of Name of the proposed Company is received, the following Forms need to be filed;
-Form INC-7
-Form INC-22
-Form DIR-12

On scrutiny and examination of the aforesaid forms, the concerned Registrar of Companies (ROC) shall issue Certificate of Incorporation of Company along with Corporate Identification Number (CIN).Note: Certificate of Commencement of business is not required to be filed in Form INC-21 as the same has been omitted by the Companies (Amendment) Act, 2015.